Industry Metal Derivatives - Americas

Americas

The nominal value in the Industry Metal Derivatives market is projected to reach US$6.16tn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 4.24% resulting in a projected total amount of US$7.58tn by 2029.
The average price per contract in the Industry Metal Derivatives market amounts to US$0.13 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in China (US$2,835.00bn in 2024).
In the Industry Metal Derivatives market, the number of contracts is expected to amount to 50.67m by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Industry Metal Derivatives market in Americas is experiencing significant growth and development. Customer preferences in the Americas region are shifting towards more diversified investment portfolios, with a growing interest in alternative assets such as metal derivatives.

Investors are increasingly looking for ways to hedge against inflation and market volatility, making metal derivatives an attractive option due to their potential for high returns. Trends in the market show a rise in trading volumes for metal derivatives, particularly in countries like Brazil and Mexico. This can be attributed to the growing awareness among investors about the benefits of including metal derivatives in their investment strategies.

Additionally, the development of sophisticated trading platforms and technologies has made it easier for investors to access and trade these derivatives in the Americas. Local special circumstances in countries like Canada and Chile, known for their significant metal mining industries, play a crucial role in driving the demand for metal derivatives. These countries have a strong presence of metal producers and consumers, creating a favorable environment for the growth of the metal derivatives market.

As a result, investors in these countries are more inclined to include metal derivatives in their portfolios as a way to capitalize on the local industry expertise. Underlying macroeconomic factors such as global trade dynamics, interest rates, and geopolitical events also influence the metal derivatives market in the Americas. Economic policies and trade agreements can impact the prices of metals, leading to fluctuations in the derivatives market.

Moreover, changes in interest rates can affect the cost of carrying metal derivatives positions, influencing investor behavior in the market. Geopolitical events, such as trade tensions or supply chain disruptions, can create uncertainties that drive investors towards safe-haven assets like metal derivatives.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.